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tv   Power Lunch  CNBC  May 8, 2015 1:00pm-3:01pm EDT

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>> thanks. >> jay boen for us live for us in atlanta. big day on wall street. jobs coming in largely in line for expectations. investors have pushed the stock market to 265 points. not that far from a new interday high. power lunch begins now. >> halftime is over. power lunch and the second half of the trading day start right now. >> scott, thank you very much. along with mandy drury, the markets are jumping. you see the dow up about 1.5%. the nasdaq above 5,000. and the s&p 500 up 1.33%. >> all after the jobs number grew 223,000. below estimates and kind of like what people are calling a not too hot and not too cold number. >> the key question being is
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june off the table. when will we know? when when when? you can tell us. >> you can whitsper in my ear. a huge halle. the dow having their best one-day gain since march 30th. they had their best day since march 16th and a handful of points away from the all time closing high of 21.17. let's get more on the trading action. stationed at the nasdaq and first down to you, bob pisani on the floor where you can always hear the roar the boom out of the gate with stock this is morning. >> what they want is volume. we are not getting strong volume, but it's decent. let's take a look at the advance. 4-1 declining and nine of the
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ten are up more than 10%. that's broad. doesn't get bigger or broader than that. the push lower this week was led by the fears of higher interest rates. that's abated a little bit. interest rate-sensitive groups are doing very well. they benefit the public storage and all of them up are two, three, even up 4%. what's under performing if you get a flatter yield curve, regional banks do better on steeper yield curve are under performing. all under performing the overall market. the problem here is we are trying to break out and not knocking on the door. because of the week's high and yet the markets can't really break out due to the weak economy.
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that's the issue that's the best thing. the markets can't knock them down and yet you can't break out to new highs at the same time. believe me, you will hear screaming on the street. if we close anywhere at that level today. that's a decisive break out. >> screaming on the street. i will hold you to that one. bertha coombs following the big levels. >> i don't know if i'm ready for that. we are not seeing a screaming high on the nasdaq but it's pretty much where it was last friday. biotech is very strong. the nasdaq at the moment is one point below where it ended. the big caps continue to be a drag and are positive. #
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it is the second weekly decline and after it put in a high at the end of february with the earnings. not with standing the fact that the swiss national bank and the 13 filing upped their stake in apple. a number of big caps that are dragging things down in terms of earnings. 8% decline for monster. disappointing on the outlook. also the health it firm and among the gainer trip adviser better than expected. despite the fact that the strong dollar is something that they maintained their guidance. everybody else said no. they have an $840 million deal. a $5 billion buy back helping to boost biotechs. they are among the strongest performers. bo jangles is a chicken and
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biscuits biscuits. tyler, so far i have resisted going upstairs for a biscuit. >> hang in there. we will go to dominic for a news alert from the oil patch. >> if it's friday it must be baker hughes count. headline numbers, u.s. oil rig counts. down 11 to 668 total rigs. down 11 rigs to 668 total use rigs. it appears the decline is starting to slow although it is a dikline. the total count is down 11 to 894. that means that gas rigs down to 221. miscellaneous rigs up to five. the canadian count is down four to 75 rigs. the headline for u.s. oil rigs is down 11 to 668 total u.s. oil
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rigs. that is the headline number. >> a rapid update on the economy. an interesting day. >> pretty good jobs numbers. that was for the month of april. march wholesale making it more negative than before. let's look at the rapid up site survey of 10 economists. what we see is we are down 0.5%. falling another 3/10 of one point. this started out in february. the first were like 2.9% on thes to 55 side. gdp has amazingly disappeared for the first quarter. we are tracking it and we are still believes in the q2 track. they bounced back and up 2.7% is the estimate. some at 4% and some at 0.8. amhurst and steven stanley over there along with the optimistic
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at 4%. goldman in the middle. morgan stanley towards the lower end. we are now for the first time incorporating the atlanta get tracking estimate. just some of the commentary on where the jobs are. you can see we did 862,000. that told us along with the sector that we did have a weather effect and a bounce back. pantheon said they rule out a june hike and that is still hike. at the september meeting, it remains a close call. john wayne's voting president on monday. >> that's a madonna microphone
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going on there. that's what goldman said. that's another. what does the fed funds market say about that? >> they are rapidly getting rid of any thought of a second hike. take a look at the december 15th. this is the tail of the tape. look at that. back in september of 2014 up there, we were at 75 basis points. that's three hikes. by the time the first part of the year rolled around we got rid of the third and now we are rapidly getting rid of the second one at 31 basis points. about a 25 basis points plus six. the second hike is almost vanishing to zero and one rate hike is being priced in. >> steve liesman. >> we need to upgrade to the madonna microphones. we can dance around as we talk about stocks. is this the report that finally tips the fed's hand? we have the markets contributor
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with o'neal securities down at the nyse. last time you were on with me you would not be surprised if they did not pull the trigger at all. if you changed your view on that, have you brought it forward? >> as steve pointed out the second rate hike left the building and as one of my friends said certainty left the building as well. the downward revision to both first and second quarter gdp estimates leave the feed where inflation is certainly there and they don't have a real reason to pull the trigger. sooner rather than later. >> i was reading your report and they said that's the canary in the coal mine. that came in light. lower than expected. >> i think that reiterates that whole stance. it pushes the rate hike out until probably november or
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december. i don't think anything is happening in september. i think that's what the market is telling you. it's rallying and teasing with all time highs and not enough to push us up and through and feels like it will stall and churn and back off before it attempts one more time next week to push up and through. >> one of the interesting things i have been hearing is this massive trading unwind that we have seen where german bond rates have gone up. this may have been a risk off a trade that came in the last couple of weeks. big on winding a very, very heavily played position. >> do we wind it up? >> they are forecasting a stronger dollar and lower rates and a better stock market. we may have had this rolling correction in oil and gold and the dollar but we may get back to what has been a much more normal cycle. >> that's out on the floor,
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kenny? >> that's true. i think that investors and traders were looking for a reason for unloegd. that was what you saw on wednesday. i don't think people panicked about it but they were looking for a reason to reallocate it. that's what you got. the market feels okay, but it feels a little bit tired. it will challenge it one more time. >> i don't think we will get to the screaming on the streets that bob was talking about a moment ago? >> well i think it was stuck right here. we have been stuck at the twenty-one-15 level. it seems to be the last closing high. we won't get that today. >> i don't think i could cope can screaming on the streets. >> signifying nothing. a lot of choppiness and can't break out either way. >> have a good weekend. ron insana and tyler, over to you. >> numbers out on same-store sales from mcdonald's getting a nice bounce today for a change. the world's biggest burger chain reporting better than expected
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sales for april. what's fueling it? courtney reagan is fueling it. >> that's right. i do eat at mcdonald's every now and then. earlier mcdonald's ceo did warn them that sales would reflect weakness and it wasn't as bad as some had feared. mcdonald's reports sales at global locations open at least 13 months to 0.6%. the best this year, wall street was expecting a decline three times as bad. the fast food giants fell 2.3% in line with consensus. the golden arches point to activity and negative traffic. the sales fell 4% in the middle east and africa region and down by weakness in japan. the one bright spot europe. other economic concerns for the region and consumers are craving the big macs. they increased by a percentage in germany.
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offsetting weakness in france and russia. the best food chain promoting the options in europe citing economic head winds and saying they are doing well for them in that region. >> amend, over to you. >> the postal service reporting a big loss but there is optimistic signs for the struggling agency. live at a processing facility in queens, new york. morgan? >> hi, mandy. this machine when it's operating can process 600 packages an hour. we will tell you about all of the ways the u.s. is trying to deliver a profit. when power lunch returns. me shallow... but, i have a wandering eye. i mean, come on. national gives me the control to choose any car in the aisle i want. i could choose you... or i could choose her if i like her more. and i do. oh, the silent treatment.
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most shares ever plunging. profits of the energy drinks are missing the mark. monster suffering from the end of third partnerships but despite the big drop at 9% the stock is up about 20% this year. nokia getting a pop. getting an offer of as much as $3 billion from uber for the mapping service last month. nokia said it was considering a sale of that unit. stock is down 12% and today it is up by 3.4%. as shares are soaring by 9.5% rejecting the take over from monsanto saying the offer under
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values the chemicals maker. monsanto is up by 2.2%. hoping the stocks soar by more than 30% so far this year. ty? >> the postal service reporting steep losses but it was a narrower loss than last year by an increase in shipping or package volume. they have been suffering a decline in the mail business for years. so can shipping packages be the answer to the usps's problems. morgan brennan joins us from a processing facility in queens new york. >> hi tyler, while the usps is struggling in first class volumes as well as mandated retiring health care funding, there is a bright spot. it is packaged deliveries. in the last quarter, shipping and package volumes increased 14%, highlighting a fast growing
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business as e commerce continues to surge and one that is investing billions in. there is a growing list of initiative that is the usps is growing out to boost the business. from same-day delivery to increase in sorting capacity. one of the projects that is under way is mail boxes. the usps is testing bigger boxes that can fit packages. this is a trial taking place in a handful of rural and urban markets. >> we took the data and calculated out about an 85% of the packages what would the size of the box look like. we designed a box similar to the boxes that you see, but larger. >> the motivation here could mean fewer unsuccessful delivery attempts that would cut down on resources. it makes a better place and the
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reaction to these mail boxes has been positive. as you mentioned at the top with a net loss with the last quarter alone. that was not funded with taxpayer money and has a long way to go to deliver profit. back over to you. >> morgan brennan. a big rally on the street. three stocks riding the recent momentum. should you be buying them? prince harry giving 007 a bit of a run for his money. and from a helicopter, wielding an assault rifle, his stint with the aussie army. you have got to see this. boys? stop less. go more. the passat tdi clean diesel with up to 814 hwy miles per tank. just one reason volkswagen is the #1 selling
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on the heels of the conservative's big win. gains overseas. you have france here up almost 2.5%. up 2.33%. the pound to 1.54. around as a prince and making lots and lots of money. take britain's prince harry, one of the richest young men in the country and indeed the world, he is down and dirty down under doing special military training. let's take a look. who said it's all glory for the royals. prince harry left the palace.
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he is on special maneuvers with the british army in australia. here he is at target practice. harry is piloting one of the black boxes, practicing flying into enemy territory. he was in the special regimen selection course conducting exercises from the troops and british armies. there he is in robotics school. blowing up a suspicious package. in a diving exercise before running through a gauntlet in a rescue drill. finally we see him jumping for a helicopter and the shooing his way through an obstacle course. >> good for harry. >> they are up about $5 and $1188 an ounce. other metals silver copper palaid yam and copper is down just a tiny bit. other metals up a bit as you see right there. the number of stocks hitting new
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all time highs in this big rally, mastercard trading at an all time high since may of 2006 broad com not seen since january 2011. vulcan and martin marietta. not seeing this level since july of 07. rubber at levels not seen since may of 08 and black and decker at all time highs since the completed merger of stanley works and black and decker at march of 2010. to the bond reporter rick? >> hi, tyler. if you look at a 24-hour chart, you get a certain view. that obviously rates one down whether it was the number or combination of factors. when you pair it up you get a different look. especially when you notice that we hit 2.30 almost 2.31 briefly. at the end of the day, we are
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unchanged. yes, unchanged on the week. we settle at 2.11 last week. a lot of zigging and zagging, but unchanged. hirt-year bond yields are elevated where twos and fives are lower. a minor bit of steepening going on. if we look from mid-february you get a look at what technicians were dealing with. we settle in march and the day before yesterday. the big numbers are behind us. we should see yields drop a bit. we had 29 sessions that closed between 186 and 199. the real test is if we hold it to a percent level. on february on the dollar index, many say if it was about the fed today, why haven't they moved more and it is unchanged. they take a wider view like the february chart, they are matching the performance of the market giving the timing of when the market investors believe the tightening may occur.
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mandy? back to you and have a great weekend. >> i will. i will do a lot of zigging and zagging. rick santelli with the uncertainty that we have seen in the markets. on the upswing this month over the past few days. which stocks are riding the moment up upwards? dominic knows. this is a name you may know, but we don't often talk about it. we will reveal that name coming up after the break. blap for protecting my future. thank you for being my hero and my dad. military families are thankful for many things. the legacy of usaa auto insurance could be one of them. our world-class service earned usaa the top spot in a study of the most recommended large companies in america. if you're current or former military or their family, see if you're eligible
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>> hello, everyone. i'm sue herera. a 2013 law sought to fix the worst government employee pension crisis by reducing cost. the ruling forces the state to find a way to overcome a massive budget sev deficit and some of that traded lower on the news. two of the nation's biggest banks agreed to erase certain debts and the move by bank of
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america and jpmorgan chase could provide relief to more than a million americans. tom brady speaking out about deflate-gate, sort of. the quarterback had a previously scheduled appearance to speak at salem state university and hosted by sportscaster jim gray. >> i don't have really any reaction to our comment on it yesterday. it's only 30 hours so i haven't had much time to digest it fully. when i do i will let you know how i feel about it. >> emma is back. after slipping from the top of the most popular girl's names list six years ago it's returned in 2014. emma was followed by olivia sofia, isabella and ava. top boy's names. noah for the second year followed boy liane, mason, jacob and william from the social security administration that trams it because kids get a
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social security card. that's your update. back to you. >> the job numbers are out and the market is up. in case you had not noticed. if the fed pushes back rate hikes and stocks go higher where should you buy in now? dominic has ideas. >> i know where people have been putting the bets as the market bottomed. maybe this is a proxy for what happened. the s&p 500 hit that bottom five-day losing streak at the end of april and now we have taken it higher. if you look at where the strength has been, one group that is getting a lot of attention is the home builders. not just home builders but the stocks that go along with them. home improvement and furnishings. the broader home improvement and home selling trade. a nice move higher up about 3.5% almost 4% this month alone. here's the interesting part. you take a look at the stocks that have shown the most
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strength overall during this run higher. home builder's related. you go beyond the etf that tracks them. you look at the stocks. whirlpool. they did get an analyst commentary at rbc. they sell washing machines and home appliances. that's part of the trade. this is just this month up about 2.5%. lowe's, the home improvement retailing. you think fix up your yard and all that improvement activity. low's perhaps a beneficiary here. which is interesting, interday showing strength here. these are all just today. we don't often talk about them but they make coils. springs for your mattress. >> the inereds. >> that is the best performing stock in the s&p 500 this month to date. they had earnings a few days
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back and if you look at the stocks in there. a lot of them mohawk industries make floors. a lot of the names in the top 10, 20 30 just so far this month have been home improvement and home builder related. you want to watch as we get deeper into the spring selling season. if we see things pick up they would know more about that than i would. i see that strength and i say maybe traders are betting that things will be better this season. >> let's bring in the advisers and asset management from rocklin trust investment group. you predicted the dow would hit 18,000 by 2015 correct? and now you are calling for it to reach 20,000 by year end. >> i am. i think that many of the factors that i cited two years ago are still very much in place for the
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market. broad and diverse leadership low interest rates and the transparent fed. earnings that beat expectations quarter after quarter. i see a very good foundation here for higher levels and think the activity we see year to date will act as a foundation for the higher levels. >> nothing goes in a straight line. even though you are predicting 20,000, what movement are you expecting? is there any potential for a correction? >> there is. it depends what you call a correction. i don't think we will see more than a 10% pull back until we hit 20,000. we say this market has done an extraordinary job with excesses on an ongoing basis. we have seen sharp declines recently in technology or biotechnology. aerospace defense and although the real leadership categories and they are springing back as we see the market recovering there at the rebound. i think they will continue to show very strong momentum
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through the remainder of the cycle. >> you are not quite as bullish. about 19,300. none the less taking into account what we learned this morning about the jobs market and what the fed might do as a result. does it change your view at all? >> no i think the jobs number was the goldie looks scenario and stronger than i would have expected. if we can be around the 200,000 number every month, month in and month out and prove this was not just a weather-related snap back, we will be already with the 19,500. that's a 6 to 8% burn and that's a good return. we are up a couple of percentage points already. that's about as bold as i'm going to be. >> as bold as you want to be. do we stay lower for longer after the jobs market number this morning? does that mean we get maybe a weaker dollar? weaker dollar from howard is
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being weaker over the past month. >> the quandary near term is they have two characteristics in the market. they have resiliency that played out over the years. every rebound has been a spring board for higher levels. you have this concern about hesitancy. we have seen that playing out. we have a new high in march. new high in the s&p and not quite the follow-through. i think that's coming. it's hard to say exactly when it's going to come but when it comes, it will come in a good fury. you have a danger market here. so many predictions of doom when the characteristics of this market are quite robust. when we start to get that break away move that will get short-term, i think the travel to the next level will be pretty quick. >> last question to you. what are you betting on in terms of sectors here. >> we are not big sector
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betters. we let the market move and let us make the adjustments. i would be leery of the biotechnology stocks and the names that are out there. things that are getting expensive and a 17-times multiple multiple. they are much, much higher and have pair dollic moves. i would suggest more conservative and utilities look more conservative. telecom is down and they had good earnings reports. i think i would not bet big on any one sector. what i would say is i look at the sectors that really run and take money off the table there. >> profit taking never hurts. thank you very much to you. have a great weekend. you can also get more on the 20 k predict on powerlunch.cnbc.com on the website. back to you. >> speak ease. we will sit down with the candidates and find out what republican candidate ben carson
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has in plan for his big run. tlights in detroit, at one point, did not work. you had some blocks and you had major thoroughfares and corridors that were just totally pitch black. those things had to change. we wanted to restore our lighting system in the city. you can have the greatest dreams in the world, but unless you can finance those dreams, it doesn't happen. at the time that the bankruptcy filing was done, the public lighting authority had a hard time of finding a bank. citi did not run away from the table like some other bankers did. citi had the strength to help us go to the credit markets and raise the money. it's a brighter day in detroit. people can see better when they're out doing their tasks, young people are moving back in town the kids are feeling safer while they walk to school. and folks are making investments and the community is moving forward. 40% of the lights were out, but they're not out for long.they're coming back.
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all of the problems of the world could be settled easily if men were only willing to think. all of the problems of the world all of the inefficiencies could be settled easily all of the opportunities could be realized if we were only willing to see patterns in data we could never see before. to design a machine that thinks like we do. track epidemics. predict breakdowns before they occur. to become smarter every day. if men women machines were only willing to think.
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>> you seemed unaware about the baltic states in nato. >> i was talking to him about how important it is to get people involved in a protective organization and i thought he was continuing on. i didn't know he was giving me a quiz. >> i could have told him a lot
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about the baltic states. recognizing they are all part of nato along the baltic rim which i visited almost all the countries. he was so gleeful. >> he wasn't really gleeful, but quite respectful. you didn't think so? if you are president, there is a lot riding on everything you say. financial markets react to it and other countries react to it. are you sobered by the fact that i am new to this and the stakes are high and i could mess this up. >> you are sober, but you recognize, say you were talking to somebody and they thought that you didn't know who the members are nato were. you can sit them and tell them the history of nato and tell them sweden had a stormy relationship with nato and france and spain have come and gone. they are back with it now. if that was something that was
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satisfied, you could have that conversation. and straight 19 out quickly. >> that's just a little taste for more. with the interview, go to the power lunch website. powerlunch.cnbc.com. we can never say it enough. >> one of the key issues is job growth. here's what president obama said at nike headquarters. >> 3 million new jobs over the past 12 months and nearly the fastest pace in overall a decade. all totalled over the past 62 months in a row, america's businesses created 12.3 million new jobs. >> is he right? mark is president and ceo of the national urban league and mayor of new orleans. joe watkins is a former white house aid to george h.w. bush. let me start with you, joe.
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do you think the president gets enough credit for the jobs record that has been rung up here over the past couple of years or too much credit? >> history will be the best judge of how many credit he should rightfully get in terms of creating more jobs. i'm glad to see we are moving in the right direction. today's report helps us to feel anemic, but we have a long distance to go. i look at the numbers that are not moving like the labor force participation rate which is up 1/10 of 1%. it hasn't moved at all and stayed between 62.7 and 62.9% since april of last year. i am looking at the part-time employment numbers and the workers's numbers that have not changed. there is a lot of room for growth and obviously i don't think the get will do anything until september. we have a lot of room yet. i'm not discouraged. i'm encouraged by it but we have to wait and see and we have
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a lot of growth going forward. >> the mayor has a balanced view of you with the jobs report. what do you see that you think are the weak spots. he enumerated some. >> we applaud this incredible string of job creation but there pockets of poverty and joblessness where the joblessness levels are equivalent of during the great recession. those are pockets of poverty and joblessness in american urban communities. this recovery while strong is bypassing large portions of baltimore or chicago or new orleans or many cities across the nation. i believe what we need from a policy perspective is an economic drone strike. those are targeted efforts designed to deal with the high unemployment and the pockets in america's urban communities.
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as for the president, the faxes are clear. this past year has been the best for job creation since 1999. for barack obama it's been after inheriting an economy with the greatest number of layoffs since the great depression. those are the facts, but the work ahead is work not just for the president, it's work for the congress and the congress i think struck a blow in the wrong direction with a dramatic increase and if you will military spending while at the same time cuts in human investment programs which are designed in some measure to be that economic drone strike. >> i want to come back to you. let me turn to joe. he leads me to my next topic, the disparity of wealth in the united states today. the gap between the wealthy and the middle class, not to mention those who are below the middle class. i was coming back from washington last night on the train, looking out the window at east baltimore.
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that has seen its share of troubles. you say that can't be america. it is so poor and desperate. what can we do to fix it? >> i lost sound here. >> why don't i go to mark. did you hear my question? >> i heard your question ty and i think what's happened in baltimore and ferguson caused many people to take a new look at how many of our urban communities have not come back since the great recession. what i would hope viewers and listeners of c innbc would understand is by addressing the problems of est baltimore or the southside of chicago and many communities, it would have a positive effect on overall growth. that is what we must understand as a nation. that addressing the problems of urban communities, investment and incentives for investment
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and helping with education and workforce training will benefit those communities, but it will benefit the nation. a 21st century economy cannot have prosperity and poverty. we need prosperity for all. >> sorry we had a problem with the sound. the simple question is how would you address the question of income disparity and wealth this this country? >> i think you have to change the leg ra tori climate. if you look at the climate, it's very, very difficult for small businesses. if you look at the same period between 2009 and 2012 and 2001 and 2004, we have 40% increase in business in regulatory and punitive measures that is. so i think that for the
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environment, it makes it easier for businesses to do their job and not spend so much money fighting regulation or helping to decipher regulation. they can get about the business of making profit and hiring more people. you have 93 million americans that are not in the labor force that want to be. the way to do that is to provide small business with the incentive to hire folks. that's how you grow the economy and get people back to work. >> sorry you had trouble with your sound. you were probably hearing an echo. great to see you. let's go to dominic for a news alert. >> we had already heard today that there was rumblings with the board ranks at the mattress maker, temper seely. that was confirmed. basically shareholders have not voted a majority of shares to
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put three directors back on the board. chief executive officer and christopher masto. they did not receive a majority of shareholder votes to put them back on the board. the company said the by lass state, if a director does not get a majority of shareholders to vote they will tender their resignation as directors of the company. however the board will now evaluate weather to accept the resignations from the board and in the meanwhile, they stay in place until they can make that determination. the stock had been running up about 4% in anticipation after we heard the initial results. this is the largest shareholder with a 10% stake in the company and had been voicing concerns perhaps about this particular board room. again, the news is out and they acknowledge that shareholders did not vote to reelect directors including the chairman and the ceo of the company.
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>> the shares are up by over 4%. in the meantime we will go for a quick break and first, getting out of the rat race. >> coming up a trader works out a way to leave wall street. >> i saw a glaring need for something different. i really did. >> so he opened his own gym. es caping the cube, next. why pause a spontaneous moment to take a pill? or stop to find a bathroom? cialis for daily use, is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision
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now it's easier than ever to manage your account. get started at xfinity.com/myaccount . up by 3.7% at 62 and 28. would you leave a well-paying job for a career that you were not formerly trained to do but thought you might enjoy. this next guy did and it worked out for him. >> i will look back now and think it was crazy that this would work. i'm greg the founder of guerilla fitness. i used to work on wall street. it was a very exciting lifestyle
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for a while, but the money was not driving me anymore. i had to make a change. >> he always looked to be outdoors. always at the gym. i'm susie goodman and i have been a friend of greg's for 20 years. he talked about joining a gym. >> i saw a glaring need for something different in the fitness industry. i did. as soon as i left, i moved to denver and i took a job at 24-hour fitness and i learned about how not to do things. it was about selling, selling, selling and i came across this newer methodology called cross fit and i started following that and i made a decision that that's how i was going to open my business. >> my husband and i moved out tomont clair, new jersey and encouraged greg to look out here. >> i knew what the space would look like and the colors of the wall. when i saw the space, i saw it the way i saw it. >> adrian who was his wife was
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petrified and supportive of him. >> getting started, diiti did it on a shoe string. i built my desk. i had no clients. the gym was purely word of mouth. we don't do advertising. it was me getting in the room and coaching people and telling other people. you see these glossy gym facilities. it's like you don't want to mess anything up. we want to mess things up in here. we want to mess you up in a good way. >> it's positive and income andelectric and alive. >> i had a clear vision of what this was going to be. i department for a second worry about it. >> nike shares doing it over the past year. sarah eisen is live at nike headquarters. hi sarah. >> hi tyler. i had a chance to speak with nike ceo and we talked with how
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that would benefit nike. we had thoughts on competitors's recent moves with athletes. we will have more when power lunch returns.
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. the estimates are plunging and showing q1 tracking negative 0.5%. goldman sachs said they continue to forecast the first hike in fed funds target range at the september meeting. they commented that a june hike is probably ruled out. also breaking on power lunch, 11 u.s. oil rigs going off line from a week ago to 668. 860 rigs have gone off line from a year ago amid these low oil prices. if you missed any of the big stories, you can visit powerlunch.cnbc.com and you can see what is am can be up in the next hour. no? let's take a look at the markets. >> what a difference two days has made. since wednesday when they said she felt the market was looking topee. it's looking topeer now. all grown on the wall behind us but punching in close to an all
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time high. the nasdaq was up above 500. 255 points higher right now for the dow. >> that's right. remember what we are looking at here as we speak. the all time closing high is 21.17. i think bob pisani said 21.20. they will be screaming on the streets. that is it for the first hour of power. thank you so much. happy mother's day to you as well. over to you for the second hour of power. >> thank you very much. have a great weekend, guys. welcome to a jobs day stock rally friday. the dow is up 255 points. this is all thanks to the april jobs number and 223,000 jobs in april.
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that was the lowest in seven years. good but not great numbers. that may be just the point. toni is at pimco and bank of america and merrill lynch. it was good but may be not good enough that the fed will be forced to act sooner than later. was this the tweet spot for jobs. >> the important thing is that the fed will move from june or july and september instead. it's difficult for the fed to move high. this is the thesis they had for a while, a idea of a new neutral from policy rates are lower. where is it that central banks need to put their rates to be satisfied when they are satisfied with economic continues. that rate in europe japan and the u.s. is lower than in the past. the jobs number confirms that and the rates be slow and shallow. not necessarily with the market
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rally with the slight delay. >> i thought it was modestly disappointing and economic or otherwise. tracking and negative territory. q2, we are forecasting 2.5% but there a lot of risks around the forecast. you have investments that are not hit and trade that is being impaired. we have seen a soft pausch given the number of stocks that hit. this was fine but not a robust number. >> the component of a catch up in the jobs report for this month? are we going to see a catch up?
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>> should there have been a bigger component? >> that was the hope that was you were going to see stronger growth and the april data was going to turn in a meaningful way. it's better. it's a decent number. by no means is it extremely positive sign about the momentum in the economy. after a negative quarter, you really want to see strong figures that are going to suggest that we are out that was soft patch. >> i'm curious and this may be wonky, but a lot of people are pointing to what's going on in german ponts and in terms of a yield swing, we saw one of the biggest in a single day in sometime. >> story the story in japan. 50 basis point moves near 20 times. all that we have seen in terms of the path is lower and lower.
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# it doesn't mean too much and what in the end will determine where rates go is where bankers put their rates. they are likely to keep them at zero for several years and be under 1% by the end of the decade and same for japan. there will be epicodes of fear but more than like leely. >> when you dig into that number, only three segments had job losses.
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every other segment of the job market was higher. i'm surprised you are more sang win about this jobs report when it wasn't that bad. >> you are right. it wasn't that bad and you can isolate where the drag is. the concern is yes, we know we have the two shocks and they are going to suffer. manufacturing will be weaker and the hope is that you would more than offset that. it's not fast enough. the retail sector only added between 15 and 20,000 jobs. leisure and reportity was sub. >> as well. the growth you are seeing outside of the economy and they are specifically impaired by the shock are not improving fast enough. #
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it projects to like 200ish. it's enough to keep it on a downward path. with it protecting and a noninflationary rate and full employment and 5% to 5.2. it's close enough that you should be thinking that the fed in a few months when it's closer or within the zone or perhaps on the cusp of it will be wanting to raise interest rates none the less. >> we have to leave it there, but it's not a good day unless you learn another acronym. >> it's an important thing. we hope it gets there for all
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americans. >> stocks are higher and all 30 stocks are in the green. let us bring in contributors larry mcdonald and first to you on the jobs report i am surprised that we have as much job growth as we do given the
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productivity gains. >> today we had 21. the population has grown by close to 20 million. we have two million less full time jobs. that's the drag. the labor slack and that's what is one of the things. go to the airports where it used to be the waiters and now there is 20 i pats and two waiters or waitresses. things are evolving and one wonders if the jobs are never going to come back and maybe we shouldn't look at it as a comparison and say to tony what's the new neutral?
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>> the new economy if you are looking, i follow mark on twitter and he had some very, very fascinating points around technology and the amount of jobs that have been taken out of the workforce. because of technology. it's something that a lot of economists don't have a good feel on right now. >> jeff let's go to you now. from a trading perspective, what i care about is the bonds and stocks are moving higher together. specifically it's financials and bonds moving higher together. that seems to tell me that the markets want to go higher. it's the win-loss record. a good amount of wins about you a good amount of losses so it's
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down the pipe. it wasn't the euphoria. we didn't see it mitigate that bad number earlier in the week but that initial buy, the first ten minutes of trading and behind me it was 65% established. that doesn't lock like institutional buying. it looks like short coverage. as we near the highs and they are high end, right now this number has quelled fears and suppressed anxiety. this is a short covering rally and there is not real conviction to the upside? >> absolutely what i'm saying. we will see how it shakes out on monday, but there is a lot of emotion. when janet yellin was talking about stocks and a lot of conversation going on. everything is okay. i think larry brings up a lot of great points much the bang for the buck. we need jobs jobs jobs. >> all right. jeff thanks to you as well. thanks to larry mcdonald.
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>> oil bouncing off of the lows of the day. the rig count he said. u.s. oil counts fell by 11 from last week. production still very high about 9.3 million barrels a day. oil is soring over the last month up 16%. a bunch of oil-related stocks. the smaller names, let's go big to go home. here are the big cap oil and gas-related stocks. and these all have market caps above $10 billion. range resources up 15%. and energy up 7%. just a reminder the oil market closes in about 20 minutes. we will take you live for the crude close coming up. >> president obama is in oregon giving a speech at nike headquarters and talking with nike ceo about competition of another kind. hey, sarah. >> hi melissa and brian. we were here to talk about the impact on nike a positive boost
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that the transpacific partnership would have, but of course in talking to the nike ceo we had to ask about the competition. northwest notably under armor having winning bets when it comes to sponsoring athletes. i asked mark parker why the company with 90% market share in basketball sneakers let them go. >> we are happy with stef curry and the success he had. he is a fun player to watch. we are happy with the world class athletes we represent and frankly the everyday athletes we represent. it's fun. it's fun to see athletes perform whether they are with nicky directly or not. >> you had two big misses here. jordan spieth. how is it that a company with a tenth of the revenues of nike is getting the top players in the field? >> like i said we are very happy with the athletes that we have. the athletes and the teams.
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i think we are well-represented. >> he is being nice and diplomatic about it and helping nik tow innovate. that's part of the reason why despite the north america and the earnings releases, the nike ceo said that is not affecting us at all. they see high growth and north america has been their best performing segment. >> sarah eisen, thank you. nike shares up 40% in a year but look at shares of under armor. brian? >> does it come back with voodoo donuts, don't come back at all. up next big opportunities in biotech. one money manager said he is not worried about the bubble and he
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has stock picks to prove it. wall street's insatiable appetite for foot stocks. that stock is soaring and the ceo of bo jangles will join us. the health of social security and why it actually may be in worse shape than you think. the details and power lunch returns. blap and rebalance your portfolio. i can do a lot of what humans can. except have a real conversation. if you'd like that, you can always speak to someone at schwab. they aren't algorithms. try not to hold it against them. say hello at intelligent.schwab.com
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>> forecasts have been overstating the trust funds. the overstatements go as far back as the year 2000. the social security administration said the trust funds will be depleted by the year 2033. head to power lunch for that story. >> biotech climbing 2% today after soaring 36% since last july and the fed chair said valuations looked stressed. portfolio manager and head of the health care team it's interesting because so many people have been saying there is a bubble of biotech and for every time it looks like it's bursting that has been a buying opportunity. >> that's a good question. they have been a top performer in each of the last four years and it's a fair question on whether or not we are in a biotech bubble. there two points as to why we are not. the first is valuation and the next is fundamentals. those that are profitable are
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trading under the earnings and on a fundamental basis. the biotech sector was traded by platforms and losing money. today the biotech sector is generating profits of up to 27 billion. . >> there is negatively toned comments that can be a lung treatment. why do you think the stock was up to date. it was negative going into this. it's a short rally that we are seeing. >> i think the shares are up and investors are concerned. what fda was weighing in on this combination will more than quadruple the size of the market for cystic fibrosis. the benefit was fairly small, but the fda did say that the drug is having an impact.
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>> it was down 8%. >> they treat potentially only 3,000 people. there certains they are paying a lot of monare fe's dug with an addressable market. that doesn't worry you? >> what shocked investors was the premium that he paid. the 130% premium sets an all time record so there is concern about valuation on m&a, but it's some of the smartest management and they definitely know the drug industry in terms of how to find the patients. we feel positive about it. >> next week is the super bowl of cancer drugs. how do you look at this? there is a lot of data that will come out at 5:00 on wednesday or tuesday. the stocks are going to move.
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do you trade around that at all? >> there is a lot of people who make a good living. some that don't make a good living. what we try to do is focus on the fundamentals longer term. we try to do a lot of due diligence and find out what the data points will mean and pick the winners. >> within your portfolio, what will you be watch something. >> bristol-myers. >> thanks for joining us. coming up we reveal the stocks of the week and the two names that stood out to us since monday. plus -- >> i get paid for this. what it takes to be the directordirect or of brewing. before i had the shooting, burning, pins-and-needles of diabetic nerve pain, these feet grew up in a family of boys... married my high school sweetheart...
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and pursued a degree in education. but i couldn't bear my diabetic nerve pain any longer. so i talked to my doctor and she prescribed lyrica. nerve damage from diabetes causes diabetic nerve pain. lyrica is fda-approved to treat this pain. lyrica may cause serious allergic reactions or suicidal thoughts or actions. tell your doctor right away if you have these, new, or worsening depression or unusual changes in mood or behavior. or swelling, trouble breathing rash, hives, blisters, muscle pain with fever, tired feeling, or blurry vision. common side effects are dizziness, sleepiness, weight gain and swelling of hands, legs and feet. don't drink alcohol while taking lyrica. don't drive or use machinery until you know how lyrica affects you. those who have had a drug or alcohol problem may be more likely to misuse lyrica. now i have less diabetic nerve pain. and i love helping first graders put their best foot forward. ask your doctor about lyrica.
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>>. >> >> higher with a little more than 90 minutes left in the trading week. the dow is up by 1.4%. the s&p is up 26 points and taking a look at the nasdaq up by 1.1%. united technology and microsoft, the best performers on the big board. the small caps are really the under performer, up 7/10 of 1%.
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>> maybe good badder, or plain ugly. my big is rejen ron. they had strong sales of a drug they have got. raising price target to $5.25 from $4.60. it is friday. >> thank goodness. tgi. it's interesting because they had better than expected earnings and the trade was off because it gave up all of the gains and for the under performer, it's the to watch given the strong earnings. the price action on the back of that. my pick is that outperformed. they filed plans for a second yield that would hold emerging assets. for the week the stock is up 11% and has another already publicly traded yield called terror form. that gain on the news sun
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edison is a monster yield up 47% so far. >> you got to see yield co twice. >> my dream. >> time for a weekly series we do when we profile people with cool jobs. today, meet a woman whose day involves beer and a lot of it. >> i get paid to be the director of brewing at anheuser bush. there 12 brewers in the united states and six brews in canada we are responsible for. we look at taste, color, process, control parameters, and really our job is to monitor and ensure that each one of those is happening per our recipe. creating the perfect beer starts with first raw ingreed yens. barley battle rice hops.
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the next step is the raw ingredients and yeast and time and temperatures. the final test is really all about taste. that is the hardest thing we do and the most critical step of the whole assessment of beer is taste. we taste beer daily at every brewery and also in the corporate panel. that's pretty much the best part of the job. the other best part we have two best parts. i had a chance to hire lots of new college grads and summer interns and i watched them grow into being brew masters and general managers and that's really, really rewarding to see. i cannot imagine doing anything else ever. this is the only thing i have done. i studied brewing in college and only worked in the brewing industry and anything else would be a little bit of a let down after making beer your whole life. >> three quick things. in case you are wondering is her drink of choice even not a walk work, but she e vabiates the
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label, the bottle, and the taste. she was born to do the job and the producer is german. that's why she threw in that music. go to power lunch to see more of that and other people with very cool jobs. you are looking at the newest food stock to hit the street. shares of bo jangles are soaring and the ceo is here. nice work crossing for the week. mr. bo jangles. >> we will be slightly higher on the day and slightly higher on the week. where and why? we bumped up today and where we are going. traders still think it's his voice to shoot up this week. stay with us on power lunch. card is designed to sync with your life it gets talked about... ♪ ♪ ♪ so you can live the way you live, and enjoy all the rewards. chase sapphire preferred.
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so you can.
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with xfinity from comcast you can manage your account anytime, anywhere on any device. just sign into my account to pay bills manage service appointments and find answers to your questions. you can even check your connection status on your phone. now it's easier than ever to manage your account. get started at xfinity.com/myaccount
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. >> russian leader vladimir putin and ping signed other afford cords that will increase cooperation between the two countries. temper seely voting to improve the leader from the board. agreeing that the mattress maker needed a change in leadership. based on preliminary results, they voted to release the chairman. more drivers will hit the roads this coming memorial day weekend. it is fuelled by a growing economy and lower gas prices. 2.3 million people will journey 50 miles or more. the most since 2005. back to you, brian. >> thank you very much. really and up and down week for
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the price of oil, but it's going to finish the week below that. let's go back to jackie at the nymex. >> we wee couldn't to make it to $60, but we were and positive data out of china supportive on the demand side. rigs coming down and the dollar index on a relative basis is weak and that is supportive of crude prices. traders don't want to be short going into the weekend. they are looking at that $65 target by memorial day. we will keep our eyes on that. back to you. >> traders trade better together. we put together a nation of traders. >> oliver hardy with deutsch bank and sales trading.
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first to you. should the huge win make investors more excited about investing either in britain or continental europe or both? >> it's an extraordinary night and day and the main point to make that is that we were anticipateing a huge amount of uncertainty. no one major party will form a majority in the house of commons. we had a decisive result. the focus can shift build back to the uk economy and macro economic fundamentals. that was very supportive at the moment and the uk is doing very well and that's sooner than is currently expected. i do think this will be supportive for sterling. >> i'm not going to pretend i
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know everything about british politics. confusing and people say or seem like it's bullish on the pound, but is there a scenario where the immediate reaction has not been correct. politics is a sticky game. >> the main risk is from the european union. the party promised and this referendum will happen before 2017. given how important the investment is for the uk it is a risk. i don't think it will dominate the short-term action. i think for sterling investors will be more focused on the bank of england. we have the inflation report and they could try to shift market pricing and if that occurs they will rally against europe. >> thank you. did the election results change your outlook on stocks which
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have been on a tear this year. >> we don't cover them from a research perspective. i i equated as an analogy the effect that low rate negligence europe had on u.s. rates. that pro business will have an effect on europe. it helps facilitate the ecb's efforts of raising asset valley. i say am i going to invest or continue investing? absolutely. is it comforting in my opinion to help drive asset values higher across the uk and in europe. i'm bulled up about it. >> germany, italy and france those markets have done great. thank you and see you soon. if are more trading nation, head to our website. melissa?
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>> bo jangles, the latest restaurant chain to go public. right here shares are surge up up about 6.35. up 33%. the ceo of bo jangles, great to have you with us. >> thank you for having us. >> i was reading up on your company and what struck me was that in fiscal 2014 38% happened before 11:00 a.m. i eat breakfast and that's where the land grab is going on. that's one of the fastest growing. what are your plans for breakfast? >> 38% comes before 11:00 in the morning and even with last year and everybody getting into that sector it's the fastest growing in the industry. also last year even with everybody else.
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our biscuits are made from scratch. a 48-step process every 20 minutes. breakfast is a big part of it. all five have grown for the last three years in a row and years into quarter one. breakfast is what makes us different and sets us apart. >> when you say it's the fastest growing, how does breakfast compare to midday or dinner? >> our percentage is up and we had a great year over 2014. the highest day part with the sales increase year over year was in breakfast. even with a lot of national brands going nationwide with it it's a big part. we sell breakfast all day, every day. not just in the morning and that sets us apart and makes us different. >> you mentioned the competition and a lot of people are looking at the space. a lot of companies are going public and some compete against
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you with the kfc and some ingrektly like a mcdonald's. can you comment as to why the smaller chains are grabbing customers and whether or not you think you are benefiting because of other ku68s. are. >> we look at land scape of who we compete against, we look at qsr. >> quick serve restaurants. >> yes, ma'am. because of our quality and how we prepare the products that, gives us that fast quality. that's an attractive value and people want to eat good food. what sets that apart is the quality. for breakfast, that's habitual. we have people who come monday through friday and know they will get in line and get it in a reasonable amount of time. the products they get will be quality. >> back at cnbc i'm willing to bet i'm the only anchor here who has eaten at bo jangles many
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times. being from virginia and racing cars down south. are you stealing business from mcdonald's? >> i'm not going to say we are stealing business from mcdonald's because if you ask our customer that comes to bo jangles, if you want to boil it down if they are not going to eat at bo jangles, where would they eat? it would be someone that serves breakfast. we look at the footprint of who we compete against, it's not just mcdonald's we are looking at. it's a wide variety. as far as looking at the mix of customers, it's about a 50% male and 50% female. we have a wide variety of our consumer base. i think a big part of that is because of our breakfast. >> the only publicly traded restaurant stock has a section of the menu called fix ins. that's a section of the menu. >> that's our side items and we are proud of the fix ins. we have a wide variety whether it's the beans, green beans,
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cole slaw and mac and cheese. there is no microwaves in our stores. we cook and it's either on a stove top, grills or ovens. we probably are the only company that said fix ins for the side items. >> bo jangles ceo up about 32% right now. >> working at a restaurant, lifeguarding and mowing lawns are no longer good enough for teenagers. more are demanding real often experience in big corporations. where the jobs are and a millennial deciding between two jobs makes a list of pros and cons. sounds like a good idea until you put it on the internet. wait until you hear what happened next.
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. >> etf is moving bag. i shares are the power shares that attracts the nasdaq up boy 1 1.2%. especially for the millennials that went to college, 2.7% with a four-year college degree are out of a job right now. if you are lucky enough to have several options, the real question is which job will better kick start your future. young engineer decided to debate this publicly. that's the site on the internet. he was split between an offer from uber and zenefits. a foo hours after his post the answer was decided by none other than the ceo of zenefits.
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he responded to that and rejoked the job offer. the uber decide invited him to come to work for him. we have dan here founder of workplace trends.com and remotely in orlando, florida, jim reads the practice aspect and the new career playbook that gives advice to aspiring young professionals. i believe this is not in your playbook. what is the best piece of your advice? >> it's actually not a bat strad gee to get them for the tricky decision. the fact is to put it out publicly that is part of the silicon valley e thos right now. it's bearsing and it led to a bat result for him.
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i don't think the answer was clear cut. it's hard to decide what will launch your career. if they have the chance they should go for the more well-structured blue chip company and in this case uber is a great brand. the offer did have great attributes to it. the great question is don't put it out in public and don't play it out in front of everybody to see. it's a private decision. >> here's the thing. when i heard the story, the first thing is how to find it. they are either tracking him or tracking their own company name which is more likely or somebody that they know somebody and told them. the point is that they found it. there is a lesson here right? >> if it's online it's part of the permanent record. they can invite you tomorrow or ten years from now. you have to be careful of what you see online.
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that's their home. you hear stories about starting new new job and they get fired because somebody saw it. are companies watching us? >> they have alerts to what people are seeing online. they have reviews on ceos and employers and etc. they need to be smarter and use their pier group and accepted e-mails to their parents and friends. call a mentor. someone went to school with and a professor. so many other people that they can have a direct line of deas to. >> posting something like that sounds stupid. it sounds like there is a lack of judgment. the rule of thumb should be if you are not going to say this directly to a person and you wouldn't post it online at all. you have to assume that that post will reach whatever the object of criticism is and
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whoever it may be at some point. >> that's true. what you said is right. what you say is out there for the permanent record. it would have been fine to pose the question to piers and professors and family members and even to pose the question theoretically to get input. the fact that the challenge is to decide what is the best job for you, it's not always black and white. it's tricky figuring out the best people to work for and who are you going to learn the most from? what brands do you want to be associated with? doing something like that as well-intentioned as it may have been. >> is also about relationships. getting the best guess is about knowing people. one hand shake is worth first phone calls n. this day and age of online everything i believe actual human relationships matter more than ever. >> absolutely. a handwritten note makes you stand out. people are so flooded with
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e-mails. anything that you do is more traditional stands out. >> e-mail is good for maintaining relationships and awful for making relationships. >> meeting people is different. you get to find out so much more about that and you get to see their body language and get to learn from that. >> good stuff. >> actually i was going to say a career management skill is having a relationship mind set and cultivating great and mentor relationships. here's a perfect example of how it could have played. >> great advice as well. thank you very much. on deck street talk in the calls that you need to know including a small cap imagine maker. that is up next on power lunch. blap well, i just have a few other questions. >>chuck, the only other question you need to ask is, "what else can you do for me?"
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with xfinity from comcast you can manage your account anytime, anywhere on any device. just sign into my account to pay bills manage service appointments and find answers to your questions. you can even check your connection status on your phone. now it's easier than ever to manage your account. get started at xfinity.com/myaccount all right. 2:52 now in the east. let's get the "street talk" analyst recommendations. a two for one southwest airlines and united. credit suisse adding love a $62 target applies 40% upside. melissa, kind of odd. they're bullish on united, continental.
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>> maybe not surprised united gets booted from the focus list given its run it's hit turbulence, ha ha. after a big run in 2014. upper following the xil. outer wall webbush stick with the outperform rating. cost caughting was impressed. the analyst says he believes the company is committed to returning cash to shareholders. it actually thinks the share count is going to reduce by 3% per quarter. >> yes, just another share count reduction story. they're everywhere these days all the rage. stock three, whirlpool, rbc starts coverage with an outperform. they say it is an exceptionally well managed company, their words, for most domestic and international opportunities. >> it will specifically be according to the analyst the consolidation of the industry. electroluxe bought ge's business.
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>> alibaba, upgraded to a buy with a $98 price target. new ceo, projecting a blowout quarter. they see rising growth. possible inclusion in the mics index could be a boost to the stock. >> that's a big index. 1.7% gain on a goldman up gain. goldman usually has more mowjo. >> psix the ticker 700 market cap. generators, wood choppers roth capital starting a $90 target. the stock is at $61. that's 35% upside to the current price. >> to i a look at this down 6% this after yesterday posting earnings of disappointed and declining. can't get out of its own way. >> "street talk" down on a friday. we are talking summer jobs
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and we're going to reveal a little bit about our first summer jobs coming up. stick around. they were very different. when a moment spontaneously turns romantic why pause to take a pill? and why stop what you're doing to find a bathroom? with cialis for daily use, you don't have to plan around either. it's the only daily tablet approved to treat erectile dysfunction so you can be ready anytime the moment is right. plus cialis treats the frustrating urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision or any symptoms of an allergic reaction stop taking cialis and get medical help right away.
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♪ ♪ ♪ (under loud music) this is the place. ♪ ♪ ♪ eir beard salve is made from ♪ ♪ ♪ sustainable tea tree oil and kale... you, my friend, recognize when a trend has reached critical mass. yes, when others focus on one thing you see what's coming next. you see opportunity. that's what a type e* does. and so it begins. with e*trade's investing insights center, you can spot trends before they become trendy. e*trade. opportunity is everywhere. welcome back to "power lunch," your shares of visa are spiking on a bloomberg report saying it is in talks to buy visa europe for as much as between $15 billion and $20 billion. that's the valuation it could
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fetch. visa europe is a wholly separate entity from visa global as we know it which trades on the dow jones industrial average under ticker symbol v. it was separated a number of years ago. right now it's owned by a consortium of members, european payment services and the like. visa looking like it's consolidating its european operations. the payments network for visa in europe itself, guys, back over to you. >> all right thanks. >> i had no idea they didn't own visa europe. breaking news in two ways. >> as dom mentioned the separate happened a few years ago. visa is spiking to a near 52-week high at this point. 72.15. what's old is new again, i suppose. on visa. we're watching those shares spike higher. >> yes, obviously you look at two other names, mastercard. i don't know what their payment situation is but american express, i'm sure it's something you have talked about on "fast money" constantly.
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american express is probably -- i don't want to call it the disaster story of the credit card companies this year the last couple months but they certainly need to do something. one wonders if aside from the apple pays of the world if amex is set to make any kind of a big move. >> it will be interesting to see. am exx by the way, also higher. >> your first summer job, melissa. >> my first or summer jobs in general. >> in general. >> i did a lot of lab work growing up brian. one summer i did cancer research in buffalo new york and another summer i worked in the infectious disease lab at long island jewish hospital. >> how about you, brian? >> i mowed lawns. >> i ran a lawn mowing company in college. we sold business when i left. i cut seafood up for a summer at martha's vineyard. in high school i was a camp counselor and lifeguard. >> apparently today you might
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not take those jobs because parentally more and more young people are taking professional jobs in office settings. >> yes, not me. i had cutoff jean shorts and reebok high tops and a tank top and mullet. it was sweet. >> mullet. i'll see you tonight on "fast money" at 5:00. >> "closing bell" starts right now. have a great weekend, everybody. >> i was a waitress at pizza hut. i loved it. >> welcome to the "closing bell," i'm michelle caruso-cabrera in for kelly evans at the new york stock exchange. >> i anchored tv shows. >> when you were 15. >> i've been doing this a long time. we're back to highs of the session after that be joz report came out this morning that wasn't too hot and it wasn't too cold. and anything can happen in this last hour of trading. we have someone who says a fed rate hike could still be on the table for the june meeting. june meeting is next month now.

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